Net Income Per Share and Stockholders' Equity (Tables)

9 Months Ended

Sep. 30, 2022

Reconciliation of earnings attributable to common stockholders, basic and diluted

The components of basic and diluted net income per share attributable to common stockholders are as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)
Net income attributable to common stockholders	$	1,984	$	1,045	$	6,364	$	1,355
Participating share-based earnings (a)	(4)		(3)		(11)		(4)
Basic net income attributable to common stockholders	1,980		1,042		6,353		1,351

Adjustment to after-tax interest expense to reflect the dilutive impact attributable to Convertible Notes	1		2		5		5
Diluted net income attributable to common stockholders	$	1,981	$	1,044	$	6,358	$	1,356

Basic weighted average shares outstanding	239		244		241		230
Contingently issuable stock-based compensation	—		1		—		—
Convertible Notes (b)	11		12		12		12
Diluted weighted average shares outstanding	250		257		253		242

Net income per share attributable to common stockholders:
Basic	$	8.29	$	4.27	$	26.36	$	5.88
Diluted	$	7.93	$	4.07	$	25.11	$	5.60

______________________

(a)Unvested restricted stock awards represent participating securities because they participate in non-forfeitable dividends with the common equity owners of the Company. Participating share-based earnings represent the distributed and undistributed earnings of the Company attributable to the participating securities. Unvested restricted stock awards do not participate in undistributed net losses as they are not contractually obligated to do so. The dilutive effect of the reallocation of participating share-based earnings to diluted net income attributable to common stockholders was negligible.

(b)Diluted weighted average common shares outstanding includes the dilutive effect had the Company's Convertible Notes been converted as of the beginning of the three and nine months ended September 30, 2022, respectively. If converted by the holder, the Company may settle in cash, shares of the Company's common stock or a combination thereof, at the Company's election. See Note 7 for additional information.

Dividends Declared

Base and variable dividends declared by the board of directors for the three and nine months ended September 30, 2022 and 2021 are as follows:


	Base		Variable		Total		Total
	(per share)		(per share)		(per share)		(in millions)
2022:
First quarter	$	0.78	$	3.00	$	3.78	$	922
Second quarter	0.78		6.60		7.38		1,788
Third quarter	1.10		7.47		8.57		2,053

	$	2.66	$	17.07	$	19.73	$	4,763
2021:
First quarter	$	0.56	$	—	$	0.56	$	122
Second quarter	0.56		—		0.56		138
Third quarter	0.56		1.51		2.07		508

	$	1.68	$	1.51	$	3.19	$	768

Class of Treasury Stock

Expenditures to acquire shares under the stock repurchase program are as follows:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2022		2021		2022		2021
	(in millions)
Shares repurchased (a)	$	500	$	—	$	1,249	$	—

______________________

(a)During the three and nine months ended September 30, 2022, 2.3 million and 5.5 million shares were repurchased under the stock repurchase program, respectively. No shares were repurchased under the stock repurchase program during the three and nine months ended September 30, 2021.